Summer Break
Chart of the Week for September 7-12, 2001
Is it true that stocks go on vacation during the summer months? With the exception of last year, recent return patterns seem to validate this theory. In each of the five years from 1995 though 1999, the performance of the S&P 500 from June through August was lower than returns posted at the beginning of the year or at the end. The lesson to remember is to invest for the long haul. An investor who jumped out of the market on August 31, 1998 would have missed a 24% return from September through December. For Summer 2001, the S&P 500 retreated 10%. Will history repeat this year or is this another reminder that past performance is no guide for the future?
* This information is being provided for educational purposes and is not intended to be construed as or relied upon as investment advice. ICMA-RC does not offer specific tax or legal advice. Individuals are advised to consider any new investment strategies carefully prior to implementing. Past performance does not guarantee future results. Investment returns and principal value will fluctuate, so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than the performance data illustrated. For performance data current to the most recent month end, contact ICMA-RC Services, LLC by calling 1-800-669-7400 or by writing to 777 North Capitol Street, NE, Washington, DC 20002-4240, or by visiting www.icmarc.org. Please consult both the current Vantagepoint Funds prospectus and MAKING SOUND INVESTMENT DECISIONS: A Retirement Investment Guide carefully for a complete summary of all fees, expenses, charges, financial highlights and investment objectives, risks and performance information prior to investing any money. Vantagepoint securities are distributed by ICMA-RC Services LLC, a broker dealer affiliate of ICMA-RC, member NASD/SIPC. For a current prospectus, contact ICMA-RC Services LLC, 777 North Capitol Street NE, Washington, DC 20002-4240. 1-800-669-7400.